FOREX-Dollar nurses losses as investors wait for China data

* Vaccine hopes keep risk currencies supported
* Safe-haven Swiss franc slips, oil currencies rise
* Investors look for rebound in China Q2 GDP at 0200 GMT
* Graphic: World FX rates in 2020 https://tmsnrt.rs/2RBWI5E

By Tom Westbrook
SINGAPORE, July 16 (Reuters) - The dollar nursed losses on
Thursday and riskier currencies found support on signs of
progress in developing a coronavirus vaccine, even as the virus
itself continues to spread and investors fret over simmering
Sino-U.S. tensions.
The growth-sensitive Australian dollar AUD=D3 held close
to 70 cents and near a month high. The euro EUR= hovered just
below a four-month top touched overnight on hopes that European
leaders can agree on a recovery fund.
The mood pushed the safe-haven Swiss franc CHF= half a
percent lower overnight and it lifted the crude price and oil
exporters' currencies along with it. The Norwegian krone NOK=
rose to a one-month high of 9.2715 per dollar and the Canadian
dollar CAD=D3 advanced to a week high of 1.1305 on the
greenback. O/R
Moves in Asian morning trade were small as markets waited
for Chinese growth data due around 0200 GMT for the latest
update on the recovery of the world's second-largest economy.
Both the euro and the Aussie are now testing key resistance
levels, ANZ analysts said, with sentiment favouring the upside
after the positive early results from a test of U.S. company
Moderna 's MRNA.O experimental vaccine.
Study results showed all 45 healthy volunteers given doses
of the Moderna vaccine had high levels of virus-killing
antibodies, although the experimental drug's efficacy in
stopping the virus is not yet clear. "Results like this are encouraging," the ANZ analysts said
in a note. "Without a vaccine, devastating health impacts will
continue, with significant economic implications. The stakes
couldn't be higher."
The Australian dollar last sat at $0.7000 and the euro at
$1.1415. The New Zealand dollar NZD=D3 spent the morning
either side of flat and last bought $0.6564.
Gains were capped by worries about surging infections across
the United States where new cases are rising by about 60,000 per
day. Global tension also remains elevated, with Britain ordering
equipment from China's Huawei be purged from its communications
network by 2027, prompting a warning from Beijing, and China and
the U.S. at loggerheads over issues from trade to technology.
President Donald Trump has not ruled out additional
sanctions on top Chinese officials over Beijing's crackdown in
Hong Kong, a White House spokesman said on Tuesday. GBP=D3 held steady at $1.2591 and the yen JPY=
was very marginally firmer at 106.86 per dollar.
Investors' focus in the Asian day is on second-quarter GDP
data from China, along with June factory output, retail sales
and fixed-asset investment.
A Reuters poll found analysts expect China to report 2.5%
growth, reversing a 6.8% first-quarter decline driven by the
pandemic. Markets also expect to see unemployment on the rise in
Australia, and the Aussie could come under pressure if the
jobless rate turns out worse than the 7.4% consensus
expectation. Data is due at 0130 GMT.
All 30 analysts polled by Reuters see the Bank of Korea
keeping rates unchanged at 0.50% around 0100 GMT, while it is a
closer call in Indonesia where the rupiah has been on a slide
leading in to Thursday's central bank meeting. Fourteen of 26 analysts see BI cutting rates by 25 basis
points, with a decision due around 0700 GMT. The rupiah IDR= has been among the worst performing
currencies in Asia this week, falling about 0.6% against the
dollar.
Against a basket of currencies =USD the dollar is down
0.6% this week so far and last sat at 96.019, just above a
one-month low struck overnight.